Icahn Hedge Fund Loses 20% of Its Value in 2016

A nearly $6 billion hedge fund run by billionaire Carl Icahn continues to suffer after tumbling 18% in 2015.

By

Andrew Bary

Jan. 12, 2017 2:21 p.m. ET

Billionaire Carl Icahn is coming off another poor investment year as a nearly $6 billion hedge fund that he oversees suffered a loss of 20.3% in 2016 after a decline of 18% in 2015, according to a disclosure in a regulatory filing in conjunction with a bond deal and rights offering being made by Icahn Enterprises (ticker: IEP), a publicly traded limited partnership that is controlled by Icahn.

The weak 2016 performance reflected Icahn’s bearish stance as the fund had a sizable short position in the U.S. equity market that...